The Indonesian balance of payments in the first quarter is also predicted to record a big surplus.Jakarta (ANTARA News) - Bank Indonesia (BI) predicts the national economy will grow by 6.4 percent in the first quarter of 2011, powered by strong domestic demand and external improvements.
Speaking after a BI board of governors` meeting here Friday, BI Governor Darmin Nasution said exports were still high in line with global economic recovery while imports were also increasing, especially imports of capital goods needed to support increase of economic capacity.
"With the development of current accounts in the first quarter is predicted to still record a quite big surplus. Capital and financial transactions are also predicted to record quite a big surplus, supported by direct investment capital inflows," he said.
The Indonesian balance of payments in the first quarter is also predicted to record a big surplus.
The country`s foreign exchange reserves until January 31 were recorded at US$95.3 billion, enough for 6.3 months of imports and government foreign debt repayment.
The rupiah exchange rate declined at an average of 0.1 percent in January to Rp9,034 per US dollar, which was believed to be temporary as Indonesia`s fundamental economic factors remained strong as had been assessed by Moody`s that has raised the country`s credit rating to Ba1 with a stable outlook.(*)
Editor: Heru Purwanto
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